Loans week October 1-8

Rmb-dominated loans have reached a record $62.3 billion so far this year.

Rmb-dominated loans at YTD record

Ningbo Lishe Airport has signed a Rmb 5.5 billion 17-year term loan through sole bookrunner and mandated lead arranger Agricultural Bank of China. Syndication saw Bank of China, Bank of Communications, China Construction Bank, Export-Import Bank of China, Industrial & Commercial Bank of China and Postal Savings Bank of China join as participants. Proceeds are for capital expenditure purposes.

Rmb-dominated loans have reached a record $62.3bn in 2015 YTD, almost double the $32.1bn lent in the same 2014 period.

The third largest Chemicals facility signed in Asia Pacific (ex Japan) in 2015 YTD

Kingboard Chemical Holdings has signed a $776 million equivalent dual-currency five-year facility through joint bookrunners and mandated lead arrangers DBS, Hang Seng Bank and Standard Chartered Bank. The fundraising consist of a HK$2.6 billion term loan, a $59 million term loan, a HK$2.6 billion revolver and a $59 million revolver. Syndication saw Bank of China, Bank of Tokyo-Mitsubishi UFJ, CTBC Bank, SMBC and Taipei Fubon Commercial Bank join as mandated lead arrangers while Bank of East Asia, Mizuho Bank, Nanyang Commercial Bank and Tai Fung Bank came in as arrangers. Bank Sinopac, Bank of Taiwan, E Sun Commercial Bank, East West Bancorp, Hua Nan Commercial Bank, Land Bank of Taiwan, Mega International Commercial Bank, Sumitomo Mitsui Trust Bank and Taiwan Cooperative Bank concluded the syndicate as participants. Proceeds are to repay existing debt and for capital expenditure purposes.

The deal is the third largest Chemical sector loan signed in Asia Pacific (ex Japan) so far this year, behind ONGC Petro-additions’ $2.6 billion borrowing and Formosa Group’s $990 million facility.

Asia Pacific (ex Japan) Chemicals sector loan volume has reached $9.6 billion via 31 deals in 2015 YTD, up 47% on the $6.5 billion via 37 deals borrowed in the same 2014 period.

Hong Kong Real Estate-related loan mark the highest volume on record

Leading Elite has obtained a HK$5.1 billion five-year club facility through joint mandated lead arrangers Bank of China, Bank of Tokyo-Mitsubishi UFJ, DBS, Hang Seng Bank and HSBC on a club basis. The fundraising is split into a HK$1.4 billion credit and a HK$3.7 billion portion. Proceeds are for financing of a residential project.

Real Estate accounts for 44% of Hong Kong syndicated loan volume so far this year, with $17.3 billion via 20 deals, the highest YTD volume for the sector on record. However, in Asia Pacific (Ex Japan) real estate-related loans volume is down 38% during the same period to $45.6 billion in 2015 YTD.


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